Amazon will be required to return money to millions of U.S. customers following a landmark $2.5 billion settlement with the Federal Trade Commission (FTC). The agreement—of which $1.5 billion is reserved for refunds—stems from allegations that the company used “subscription traps” and deceptive design tactics to discourage users from canceling Amazon Prime.
If you subscribed to Prime or attempted to cancel it between 2019 and 2025, you may be among the consumers entitled to compensation.
The Largest FTC Settlement in History
The deal marks the biggest settlement ever obtained by the FTC and the second-largest consumer refund in U.S. history. According to the agency, Amazon deployed “dark patterns” that complicated the Prime cancellation process, effectively keeping millions of Americans enrolled against their will.
More than 35 million people may have been affected during the six-year period examined by the FTC.
Who Is Eligible for a Refund?
You may qualify for compensation if either of the following applies:
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You signed up for Amazon Prime in the U.S. between June 23, 2019, and June 23, 2025.
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You attempted to cancel Prime during that period but encountered confusing or obstructive cancellation steps.
If you fall into these categories, you could receive a refund automatically—or you may need to submit a claim.
Automatic Refunds: Who Gets Paid Without Filing?
The FTC has designed a system that will automatically reimburse certain customers without requiring any paperwork.
You may receive an automatic refund if:
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You used three or fewer Prime benefits in your first year of membership.
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You signed up from certain flagged pages—including Prime Video, Amazon checkout, or shipping pages—where the company allegedly pushed unclear or misleading Prime enrollment prompts.
Automatic refunds will be up to $51, equivalent to one year of Prime membership.
Refund Overview
| Refund Type | Eligibility Criteria | Max Amount |
|---|---|---|
| Automatic Refund | Used ≤3 benefits; enrolled through specific flagged pages | $51 |
| Manual Claim | All other eligible Prime users | Varies |
Refunds are expected to begin within 90 days after the FTC issues its final order.
Filing a Manual Claim
Customers not covered under the automatic refund process will still have the opportunity to request money back.
Amazon will launch an official claims portal, where users can submit claims online, by email, or by mail.
Key details:
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You will have 180 days from the date you receive a claim notice to submit your request.
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If claims exceed available funds, individual payments may be reduced proportionally.
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Even if you are unsure of your eligibility, filing a claim is recommended.
Amazon’s Response
Amazon denies the allegations, asserting that its Prime enrollment and cancellation processes have always been transparent.
In a statement, the company said it works “incredibly hard to make it clear and simple for customers to both sign up or cancel their Prime membership.” Despite the denial, its agreement to pay $2.5 billion suggests a significant concession.
For a company that depends heavily on Prime subscribers, the settlement represents both a financial and reputational setback.
Why the Settlement Matters
For the FTC, this is a major victory—and a warning to companies that rely on complicated subscription processes to keep customers locked in.
The case highlights a growing pattern across the tech and subscription sectors. Regulators have investigated similar issues involving services like Uber One and other membership-based platforms that allegedly use deceptive design to impede cancellation.
The agency hopes the settlement sends a clear message: digital “subscription traps” won’t be tolerated.
What Affected Users Should Do Now
If you had a Prime subscription or tried canceling one during the affected window, take the following steps:
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Watch your email for a notification from Amazon or the FTC.
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No action is needed if you used fewer than three Prime benefits in your first year—you may receive an automatic refund.
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If not automatically eligible, monitor Amazon’s upcoming claims website to submit a manual request.
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Meet the deadline: Claims must be filed within 180 days of receiving the claim form.
With up to $51 potentially on the table, eligible users should not ignore these notices.
Frequently Asked Questions
Who qualifies for a refund?
Anyone who signed up for or tried to cancel Amazon Prime between 2019 and 2025.
How much could I receive?
Eligible users can get up to $51, but manual claim amounts may vary depending on total claims filed.
Will the refund be automatic?
Yes—for users who used ≤3 Prime benefits or signed up from flagged pages. Others must file a claim.
How do I submit a claim?
Through Amazon’s official claims website once it becomes available.
When will refunds be issued?
Initial payments will begin within 90 days of the FTC’s final approval.
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